TMI Blog2016 (6) TMI 509X X X X Extracts X X X X X X X X Extracts X X X X ..... aise. Further once POY was used in the manufacture of polyester texturised yarn, which was cleared on concessional rate of duty subject to the condition that credit on POY was not taken, the question of taking credit on POY contained in certain waste arising in process of manufacture of polyester texturised yarn would also not arise. Nowhere Rule 9A of CENVAT Credit Rules, 2002 contains anything to the contrary. - Decided against the appellant - E/3674/2005-EX[SM] - Final Order No. 51760/2016 - Dated:- 10-5-2016 - R. K. Singh, Member (Technical) For Appellant : Mr. Bipin Garg, Advocate For Respondent : Mr. GR Singh, DR ORDER Appeal has been filed against Order-in-Appeal dated 18.10.2005, which upheld the Order-in-Origi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... alia allows credit on inputs which in this case included POY. (ii) The intention behind incorporating Rule 9A in the CENVAT Credit Rules, 2002 was to offset the cascading effect. (iii) It was also entitled to take the credit of duty in respect POY contained in the waste yarn arising in the process of manufacture of texturised yarn out of POY. 4. I have considered the contentions of both sides and perused the records. I find that Revenue has allowed CENVAT credit of ₹ 4,67,830/- as per the table given below:- Sl. No. Name of the Material Qty (Kgs) CENVAT (Rs.) SED (RS.) AED (T TA) (Rs.) NCCD (Rs.) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 0 414 6. Dying (Finished Stock) (Manufactured out of Texturised Yarn) 848.27 2,121 0 318 0 2,439 Total 3,4,5, 6 17651.52 44,129 0 6,619 0 50,748 7. Yarn Waste 427.00 - 0 0 0 0 8. Dyed Bright 717.08 7,261 7,261 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... texturised yarn would also not arise Nowhere Rule 9A of CENVAT Credit Rules, 2002 contains anything to the contrary. I may be the way also mention that the Commissioner (Appeals) has also noted that the appellant had availed credit of duty paid on polyester texturised yarn at concessional rate of ₹ 250/- per kg and also took credit of duty paid on POY contained in such texturised yarn, which obviously is not sustainable because the duty at the rate of ₹ 250/- per KG was payable only when the credit of duty paid on POY was not taken. 5. In the light of the foregoing analysis, I do not find any infirmity in the impugned order and therefore the appeal is dismissed. (Pronounced in Open Court on 10.05.2016) - - TaxTMI - TM ..... X X X X Extracts X X X X X X X X Extracts X X X X
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